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You are responsible for running the Speedy Bus Company and have information about the elasticity of demand for bus travel: The own-price elasticity is -1.4 at the current price. A friend who works in the competing railway company also tells you that she has estimated the cross-price elasticity of train-travel demand with respect to the price of bus travel to be 1.7.
Kermit is considering purchasing a new computer system. The purchase price is $100,000. Kermit will borrow one-fourth of the purchase price from a bank at 10 percent per year compounded annually. The loan is to be repaid using equal annual payment..
Assume that you have drawn a total product curve for labor given a specific technology. Now let some sort of technological change increase the productivity of labor.
What price will the monopoly set in this market if it maximizes its profits - what is the optimal production decision for this firm?
Write an essay about monopoly
How will this policy-change affect outpatient care market and what will be effect of this hospital admission reviews on the insurance market?
What should the role of the government in terms of the Internet taxation and Internet content? Based on which of the roles of government? The Internet Taxation issue is that if you buy products from online sellers than you may not pay sales taxes,..
What is the effect on the aggregate demand curve of the increase in government purchases? What occurs when real GDP exceeds potential GDP? What curve shifts in order to restore real GDP to potential GDP? Why does this curve shift?
For the internet opportunity she anticipates costs for land labor and capitol of$ 3,250,000 per year as compared to revenues of $3,275,000 per year. Should she quit her current job to become an entrepreneur? If she does not quit her current job wh..
Based on current dividend yields and expected capital gains, expected rates of return on portfolios A and B are 11 percent and 14%, respectively. The beta of A is 0.8, while that of B is 1.5.
The market for health care services can be examined using the tools of supply and demand. In this market, the quantity variable is hours of health care services. Consumers' demand health care services while doctors (or others) supply health care s..
After World War II, Canadian exports generally ________ Canadian Imports, but in the early 1990s, immediately following the signing of free trade agreements, Canadian imports grew ________ than exports. However, after 1994, ________ emerged again ..
The Setrite Corporation produces chairs. An economist working for the firm predicts that 'if people's incomes rise next year, then the demand for our chairs will increase, ceteris paribus.' The accuracy of the economist's prediction depends on whe..
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